In the entrepreneurial world, there are some who have a clear vision of the sector they want to dominate and the sort of firm they want to launch. But for beginner entrepreneurs, it can be tough to know how to start a business and what type of business is ideal for them. Discovering the right business to start as sole proprietorship might be challenging. Thus, This article discusses the best types of sole proprietorship business to start in 2022.
What is Sole Proprietorship Business?
- The Sole Proprietorship Business is the simplest business structure under which one can conduct a business.
- In simple words, Sole Proprietorship refers to the individual who owns the business and is personally liable for the debts of the business.
- There is no distinction between the business owner and the business. Therefore, the Business owner has the freedom to conduct the business in his/her name or a fictional name.
- In India, one of the best ways to register your start-up is through sole proprietorship registration. A sole proprietorship has just one owner. Thus, you as an entrepreneur enjoy all the profits of your business.
Why have Sole Proprietorship Registration?
Sole Proprietorship Registration or Business registration is important for businesses, especially small ones.
The Sole Proprietorship Registration or any other form of Company Registration means you have legal authorization to conduct the business.
Moreover, Sole Proprietorship Registration offers important benefits such as:
- Open a Current Bank Account.
- Avail Business Loan
- Single-person operations are easier to run since one person is in charge and he or she does not have to deal with a slew of differing viewpoints.
- There is no need to conduct a board meeting or wait for the consent of others in a sole proprietorship business.
- Compliances are Minimal.
- Sole Proprietorship Businesses need to do Income Tax Return Filing only if the business income exceeds ₹ 2.5 Lakhs.
- All of the proprietor’s personal and legal information is utilized to run a sole proprietorship firm. As a result, a proprietorship can be established without the need for approval from MCA or other paperwork.
- You can additionally have MSME Registration and Trademark Registration to create and secure the unique brand identity of your business.
List of Best Types of Sole Proprietorship Business
The sole proprietorship business type is ideal for several operations which vary from local transportation, advisory services, and retail shops. The proprietorship business structure is best suited for firms in their early years and those owners with a limited number of workers. Hence, some of the best types of sole proprietorship businesses are as follows:
Trading in Consumer Goods
Retail operations such as selling groceries, home items, commodities, and electric goods may be carried out with relatively little risk by a business owner. Because of the lower start-up costs, going with a sole proprietorship makes sense. Bakeries and supermarkets are also included in this section.
Tutoring Services (Tutor)
Tutoring and learning aid services are supplied by the sole entrepreneurs at home or by renting a suitable business. Most entrepreneurs here choose their favorite subject and offer tuition for other subjects by hiring other subject experts.
Working as a Freelancer
Freelancers work on a contract basis and are self-employed. They do not require any investment and can do so from the comfort of their own home.
These days freelancing is on-trend and you can provide multiple services as a freelancer such as Content Writing, Graphic Designing, Business Coaching, Web Development, etc.
Services for repairs and maintenance
The garage or another property of business owners is frequently the site of vehicle repair and maintenance for everything from cars to electronic equipment.
This includes computer and software maintenance, which can be provided either with or without a distinct business location.
Hence, you can provide services for repairs and maintenance of any of the goods that you have knowledge about.
Start a Gym
In the past, going to the gym used to be something of a luxury. However, it is increasingly considered a component of a healthy lifestyle.
Health is no longer only a concern for millennials; it has spread to the generation’s elders as well. As a result, you can start a gym as a sole proprietor and earn extra income by working part-time. Our guide on How To Start A Gym in India? explains all the steps that you have to take to start your journey as a gym business owner.
Sole Proprietorship Registration is one of the essential and easiest ways to start any business. If you want to start your own business, consider starting with a sole proprietorship business. If you need further guidance relating to the best types of sole proprietorship business or any other guidance related to your business idea, feel free to contact our business advisors.
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